Why does text in Smallest File Size PDF change point size and vertical scaling?

If you have a document with 6 pt. type (no scaling) and Save As a Screen-Quality PDF, when you open that resulting PDF in Illustrator, the 6 pt. type has become 5.1 pt. type with vertical scaling of 117.65%! Normally, I would have no reason to open the PDF in Illustrator, but our clients are doing it. They want the smallest possible PDFs but still want to be able to check the point sizes for legal reasons. If you Save As a High Quality Print PDF, the type is fine, but that won't always work if there are alot of images and the file size needs to be kept as small as possible.

sorry for 2 posts, technical problem with forums and images.
Leading changed to 7.2, but as you know when going to pdf paragraphs are broken up into seperate lines.

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